Reliance to start gas production in November 2008: DCH Chief
18 September 2008
New Delhi: According to the directorate general of hydrocarbon, Reliance Industries, which owns 90 per cent stake in block D6 in the KG basin where 18 gas oil and discoveries have been reported till now, will commence production of gas from the block by the end of November.
The estimated initial output is around 15 million standard cubic metres per day. The RIL company will alo commence production of oil from the block by the end of this month, at an estimated output of 15,000 barrels per day.
This was stated by the chief of the directorate general of hydrocarbon, V K Sibal. He said the gas production output is estimated to ramp up to 40 million standard cubic metres per day within three months from the commencement of production.
Earlier, petroleum secretary R S Pandey had said that the RIL company would start production by the end of October. The company itself had clarified some time ago that it intended to commence production from the D6 block sometime in the third quarter of the fiscal year 2008-09.
Mukesh Ambani's Reliance Industries owns around 90 per cent in D6, with the remaining 10 per cent stake being held by Canadian partner Niko Resources.
In August, Reliance Industries had received the DGH's approval to transfer an 80 per cent stake of the D6 assets in the Krishna Godavari basin to four unlisted subsidiary companies, with a view to enhance its flexibility to raise finances.